Tools to survive (and thrive): Cristóbal Pérez on the future

In part 3 of this 7 part feature series, Cristóbal Pérez – a seasoned cycling industry professional with a track record of leading change – explores what the future could bring to our industry; the good, the bad, and the ugly. In each of these there is opportunity – if you can embrace the change required to unlock it.

“Think Big”

This is a quite common quote that perfectly states how some things should be dealt with in your business. It does not mean that you have to run a big business or a big budget. No, please, no. It is about mimicking what some big companies do that is perfectly and indispensable for your company (small or medium) to extend its lifespan and profits.

Your business needs to take a step up and ahead to cope with its intrinsic evolution if this is your goal. Variables such as location, size, and available money have nothing to do with the possibilities of consolidation of your company, and, why not, growth. It is also possible for you.

And you can translate this into money.

These axles are principal to take into consideration to make sure that you are doing what it takes:

• Management.
• Service.
• Clients’ management.
• Communications.

Management

There is software out there that surely will help you to run your business properly. You can say ERP (Enterprise Resource Planning), but this could also be understood as too much. Truth be told, there are options suitable to you with different features that will adapt to what your business needs. Pay attention to this and not to the name of the tool.

Dedicated software to run your business should allow you to control your inventory. I have witnessed how a €3M shop had no clue of how many bikes they had in stock, or their inventory composition. You can imagine how the next season’s pre-orders were.

Having a clear picture of what you have in your store is something that needs no explanation about how important it is. But by using the right tool, orders will be automatically deducted from your stock. so that it could become healthier.

Those trading movements generate an invoicing activity. This could be automatized so that you can provide an invoice or credit note on the go. It would also mean easier fiscal duties.

In the case of your website, it will be always updated with accurate stock available or delivery expectations so that you can make your client make the right decision and buy from you now or later.

Orders will also happen in an automated manner: discounting them from your stock, generating an order for shipping purposes or even creating an additional replacement order to your provider so that you never run out of what you sell. Additionally, you will also have a financial snapshot to arrange loans or whatever on time and accordingly to your cash flow.

Service

Service is what distinguishes those companies that will survive from those that will not. So, you must control your workshop operations using dedicated software, and understand it as a helping tool. It is commonly included in an ERP so that you can include all that this generates as helpful inputs to sharpen your business performance.

This should help you to keep a healthy and slim stock in your workshop. A lack of parts in that area has a deeper impact because it usually means an angry client with his/her bike consuming space in your shop. You would be diminishing their trust and your income.

Creating a budget in the face of the client, and asking them an exact amount for your detailed services, is only the gate to a world of benefits for all those involved. You can track the status of the repair, and send automated messages for your user’s information about changes, budget variations, approvals requests, or bike delivery. This will reinforce your professionalism, perception and avoid misunderstandings.

There is something in that regard that I consider a cheap, easy, and fantastic initiative: keeping a record of your client’s bike mileage, future maintenance scheduling, preferred or recurrent mechanic, reminders to bring back clients to check or renew any part, promoting service offers, bundles, season start promos, etc. You will be at the top of their minds. According to your records, you will know the right time to suggest checking the brake pads, chain replacement, and pre-cycling season checking. And everything will happen automatically.

Clients’ management

Knowing all about your customers is the best way to create business and loyalty. You should aim for the unique data. Just by typing any information related to your client such as name, phone, mail, or whatever, a complete file should be available. A good CRM (Customer Relationship Management), would help you to keep track of all around each customer: when was the first time he/she came to your shop, purchase and/or service history, owned bike(s), his/her birthday if he/she has a partner, kids, preferences, etc.

For non-existing clients, no matter how the lead came, social media, mail, phone call, etc. you will have a reservoir of people to reach, invite, inform, call, mail, text, WhatsApp, or whatever means that put your client-to-be on your radar. It is always a source of business.

With this in mind, you can pipeline your sales, and related marketing activities and optimise your resources.

Communications

This is extremely important. A reciprocal communications strategy and the right tools to make it happen would allow you to know about your clients and vice versa. If you do not know what is in their minds, needs, fears, or concerns are, it is not likely that you can hit a nerve to grab their attention.

Social media is the perfect field for this. You can tell what happens in your shop, your brand’s latest news, or promote whatever you want with the idea of reinforcing your brand awareness or bringing clients to your shop, digital or physical. Do not underestimate social media. 50% of contacts between users and brands for any reason come through Facebook, Instagram, TikTok, or whatever sort of your choice. So, do not expect only to be reachable by mail or phone. Do not forget to add WhatsApp to the list.

No, your relative, friend or whoever with a powerful smartphone will not do the trick. Be professional, hire professionals.

This quality interaction through their (not your) preferred channel will help you to build up your community, trust, and reputation to keep the flame burning. Or for when sales decline and you need them.

All that you have read so far might look like a huge leap confronting what you do today. But not. If you seek, you will find the right tools to operate your business more efficiently. Neither does it mean big money. If you barely optimize your company by those standards, you will save more than what the investment means, not to mention many other associated benefits.

Maybe one of your brands has a perfect approach for this. Say Trek. Otherwise, there is an enormous market for global or dedicated managing tools.

One thing is true: you have opportunities to run your business successfully and face your situation and direct competitors. Big guys should not be in your scope, but you can learn from them, mould, and tweak what they do to your reality.

But if you don’t adapt, you’re not doing things to fit with how a company is handled nowadays, you will not succeed. No matter your size.

Adapt or die.

To follow or connect with Cristóbal on LinkedIn, click here.

For links to parts 1, 2, and 3, of the series, ‘Unavoidable change: Cristóbal Pérez on the future’, click here.

Part 5 of this series – Events – goes live in 2 weeks: Monday 27th of November.